30Y yields are now over 10bps below post-Yellen spike highs as growth-hope-driven US equities were monkey-hammered in another pump-and-dump deja vu day - with one difference - no late-day bounce to provide solace for the bulls. The Nasdaq and Russell 2000 are down over 3.5% from Yellen; Biotechs broke to new lows (down over 14% and below the 100DMA); momo names were slammed (FB) as King IPO's and lost over 15% on the day. The Nasdaq and Russell have joined the Dow in the red year-to-date, S&P and Trannies barely positive. The USD lost ground on the day after early strength. Gold, silver, and copper fell notably. VIX jumped from 2-month lows to back over 15%. USDJPY was sin charge all day - and broke below the key 102 level into the close.
Reasons? take your pick...
- Ugly durable goods data - bad news is good news?
- Good Markit PMI Services data - good news is bad news?
- French jobseekers record high
- 5Y auction big demand
Or simply put - carry unwinds on the heels of China's weakness
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Dragging everything to unch YTD (or worse)
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30Y yields dropped back to near 2014 lows back to July 2013 levels...
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with 10s and 30s trading back under pre-Yellen levels
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Biotechs battered
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Indices slammed post Yellen led by the high-beta names...
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As momos are crushed...
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Gold, silver, and copper sold in US session...(again)
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All sectors are now red post-Yellen (including the new leaders that everyone cheered - financials)
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As Financial stocks tumble back to credit...
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Charts: Bloomberg
Bonus Chart: The King is dead...
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